Budget reveals fewer incentives for housing

Reading a city budget from beginning to end, I have found, takes focus, perseverance and lots and lots of alcohol.

These massive budgetary volumes tend to be paradoxical in that they are both mind-numbing and informative.

The monster that is the 435-page proposed budget for fiscal year 2014 is no different.

There are millions of dollars in reductions slated for next year. But how exactly do they impact downtown?

Some of the more noteworthy changes from FY 2013 to FY 2014:

There will be less incentive money to aid in adding downtown housing — one of Mayor Julián Castro's SA2020 priorities.

For FY 2014, the city has earmarked $1.75 million in downtown development incentive dollars. That's down from $3 million in FY 2013.

“It is going down, but we were able to accomplish quite a bit in fiscal year 2013 and the $1.75 million will assist in continuing our momentum for downtown development,” said Lori Houston, director of the Center City Development Office.

In FY 2013, under the Center City Housing Incentive Policy, the CCDO was able to assist in the creation of 1,050 units, which surpassed the 700 new-unit goal.

Of the 1,050 units incentivized in 2013, four projects totaling 482 units received direct subsidies from the CCHIP. The remaining 568 received other incentives such as tax abatements and fee waivers.

The city is still on track to meet Castro's goal of 5,000 new residential units in the downtown area by 2020. Of the 5,000 goal, 2,468 units have been completed or are under construction, Houston said.

The HemisFair Park Area Redevelopment Corp., which is managing the park's rebirth, is receiving $1.15 million in the FY 2014 budget to bolster its operating budget. These dollars are for nonbond projects — event programming, public-private partnerships, rehabilitating historic homes, tenant recruitment, etc.

On Thursday, the City Council approved about $1.07 million — from the $30 million in HemisFair Park 2012-2017 bond money — to pay for two project manager positions dealing just with bond projects: completion of the playscape area, design of the civic park and the renovation of the Magik Theatre.

Hotel occupancy tax revenue is expected to grow to $57.9 million, the most since 2008, according to the proposed budget. It's an important source of funding for the $325 million Convention Center expansion.

For the third year in a row, $1 million is being set aside for bike projects such as bike lanes, facilities and outreach events.

The city is adding a compliance auditor position, which will “promote ethics compliance and provide comprehensive training for City Officials and employees.”

The cost of parking will increase. The monthly rate at all city-owned garages and lots is increasing by at least $7. Parking meters are going up from 25 cents to 30 cents per 10 minutes. Ouch!

The added revenue will help pay for two new downtown parking garages, although language did not indicate their locations.

For more downtown bits, visit the Downtown Blog at mySA.com; @mysa_downtown on Twitter; and Downtown San Antonio on Facebook. Send email to bolivo@mysanantonio.com.

Benjamin Olivo started at the Express-News in 1996 taking down high school football starts on Friday night's in the sports department. He's also worked on the Metro, business and features desks. He's been writing about downtown San Antonio on The Downtown Blog on mySA.com since June 2008, and in the weekly Downtown Dispatches column in the Express-News since spring 2012.